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A barrier analysis for the development of distributed energy in China: A case study in Fujian province

Liu, Jian, Wang, Run, Sun, Yanwei, Lin, Yanjie, Xiao, Lishan
Energy Policy 2013 v.60 pp. 262-271
case studies, corporations, development policy, energy, interviews, markets, rooting, stakeholders, China
Distributed energy (DE) is receiving lots of attention from the Chinese government. A number of DE projects have been constructed in China. However, there are still numerous problems with DE projects. What hinders the development of DE in China? The Huadian Jimei distributed energy project (HJDE) is a typical DE building project that was not completed successfully. This paper focuses on this DE project to explore the barriers to DE development. The research group conducted 13 semi-structured interviews with representatives of institutions and corporations involved in the HJDE project to collect information. Based on the information, three types of problems were determined, and the results indicate that these conflicts between the core stakeholders make DE projects unsuccessful. These problems result from institutional barriers to DE, rooting in the development policy and the current energy market. Moreover, several key stakeholders are not able to play an active role in the design or management of DE projects. The Chinese government will put a much greater effort into the development of future DE projects. Many national support policies and rules will be announced, which are easy to practical use. Under these conditions, 1000 DE projects will be successfully completed until 2015.